The contribution of private players in the defence sector has steadily grown over the years with more than 460 licences issued so far to private companies for production of defence equipment, a senior government official has said.
“The government is taking several initiatives to encourage domestic manufacturing in the entire defence manufacturing value chain and reduce its external dependence for defence procurement under the vision of ‘Atmanirbhar Bharat’…,” said Srikar Reddy, Joint Secretary, Ministry of Commerce & Industry, at the ‘India MSME Defence Week’ organised by EEPC India.
Self-reliance in defence manufacturing can only be made possible with concerted efforts of DPSUs, major private players and MSMEs, Reddy added. Many engineering majors have diversified and joined the defence sector, he noted.
Over the next 7-8 years, India’s defence modernisation plan is projected at $130 billion and contracts worth over $55.17 billion are expected to be placed with domestic manufacturers, a statement issued by EEPC pointed out